Spatial Autoregression Model on the Income of Residents and City Economy

In this paper,we use per capita disposable income of urban residents to represent income of residents,and per capita GDP to represent city economy level.According to the data of 25 cities in Jiangsu,Zhejiang and Shanghai in 2001,we found that:(1) there are significant spatial correlation in the model;(2) the parameter estimation value of spatial autoregression model is significantly different from that of the ordinary regression model;(3) the income of residents is not only related to the city economy level,but also to the neighboring cities' economy level and income of residents.